Transcript for President Obama Considers New Military Options for Iraq

Alex, thanks. Now, to Iraq. Islamics under siege, to close in Oen Baghdad. Two years after Americans left Iraq, president Obama is considering new military options. Chief global affairs Martha Raddatz, live from Washington. The president says all options are on the table. But not all options. Reporter: He says all options are on the table. But at the same time, the white house has made clear there will be no U.S. Boots on the ground. The Iraqis have asked for air strikes. And the U.S. Is looking at that option. Using manned war planes or drones. That would be a huge step, putting the U.S. Direct back into a combat role in Iraq. And it could potentially make the problem worse. We have been sending rockets and hellfire missiles and other equipment to Iraqi forces for many months. And there will undoubtedly be more. But that doesn't do much good, George, if the Iraqi forces just run. It sure doesn't. And this conflict poses a triple threat. Civil war in Iraq. Breeding ground for terrorists that could attack America. And a spreading war throughout the middle east. Reporter: These militants call themselves the islamic state in Iraq and Syria. And that's their goal, to form a radical Muslim state throughout Syria and Iraq. The region is already divided along ethnic and religious lines. This conflict will increase that. And the refugee flow is changing the region dramatically because of the mass exodus from Syria. There's more Syrian children than Lebanese in Lebanon. And right now, you have a massive number of Iraqi refugees to take care of, as well, George. More are coming. Martha, thanks very much.

This transcript has been automatically generated and may not be 100% accurate.

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